Cloud ERP is an enterprise resource planning system that runs in a provider's cloud rather than on an on-premises network, allowing businesses to access it via the internet. It integrates and automates essential financial and operational business functions and provides a single source of truth for data, including inventory, order, and supply chain management, and assists with procurement, production, distribution, and fulfillment.
With the use of a cloud ERP, the necessary data will be available to all business units, wherever employees may be working, and offer a unified and up-to-date view of the data, since access is made through any computer connected to the internet.
A cloud ERP supports better functionality than on-premises software, and for this reason, the demand for cloud-based ERP systems continues to grow due to their ability to access and analyze massive amounts of data in near real-time. This translates to real-time inventory information for sales and finance teams.
Similarly, a cloud ERP provides all the basic financial and accounting functions. From there, the types of modules or applications an organization chooses to implement depend on its industry and specific business needs. Available cloud ERP modules include finance and accounting, human capital management (HCM) and/or human resource management (HRMS) software, customer relationship management, inventory management, order management, supply chain management, project management, and more.
This is complemented by end-to-end security, which translates into a secure and encrypted connection between a cloud-based ERP provider and its customers. In a cloud ERP, the provider is responsible for the application, data storage, operating system, servers, physical data center infrastructure, and the installation of security and feature updates.
When choosing a cloud ERP, it's important to keep in mind that not all clouds are the same. Providers have adapted their software to run from their own data centers, allowing them to have more control and adapt to customer needs.
A cloud ERP allows companies to streamline internal processes, fostering better internal communication. Improved processes and communication lead to greater efficiency and better company performance. Furthermore, it provides all employees with access to information, regardless of their location.
